The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1887-03-09
rHEPROSpGCTOF COTTON
ALIyERPOOL "BULL" CIRCULAR
-SrARTLING FACTs,
And an Array OF Figures Calculated
TO Disturb the. DISQUALIFICATION
TO Go Higher.

Gernon & Co., Of this city, a day or
TWO since, received q late mail letter
from Whitaker, Whitehead & Co., of
Liverpool, and which letter disru ,sed
tne prospects oil cotton. II is a strong
DUR argument, presented in the
mort Plausible manner. The letter
goes to say: "When the O1nsump.
lion OF an article Is, we may tay, the
largest on record, with no stocks of
yarns or cloth 10 Lancashire, and
spinners and manufacturers engaged
ior months ahead in the most profit.
able business done for years, we may
safely assert that the demand exlsts
at any rate for this seas IN, and we es.
innate the present consumption TO be
the largest ON record, viz about g..
OOO bales OF ordinary bales per week.
On the other hand Lancashire hss to
look almost entirely to America for
her supplies, and II will be necessary
In the h st plscs 10 remember ths; we
serted the seaeon with about the
smallest stotks Of American cotton
ever known, not Eithstandiny that the
last crop reached total Of {, $50, 900.
30 that this one, whether il eventually
proves to b. 100000, 6500,O0O or
oOO,OOO, will, in our opinion, make
very little d ference, considering The
present consumption. Should il.
however. turn out 9 400, 900, or lass, IL |
will be imp lssiOle to get through the |
season without q great tquetz,
similar to last year; and with trade |
better and the consumption larger. |
1t is more than probable that the mice |
oil last 81 ptem osr-namely, 51d-mav
be repeated, as it was before even in |
the isce of strong public opinion,
whlle OF J., or evan higher, is not at ali
unlikely should speculation or manip-
uation come to the rescue, which has
been 30 lately exem Jlifed in such ar.
tlcles as iron, wool, coff 90, wheat, etc.
Now the great feature OF he present ia
that even today Neill and all the great
authorities confirm their reduced Sen.
lemhsr crop estimates (8.G50,00O to
y ,4OO, 0O0), 10 spite OF the continued
liberal movement; but suppose. for
aroumsDt's sake, that the crop ia g.
$4,000, or the same as last wear. and
We find that what has been The only
element of weakness the past two
months, and which alone prevented
the market from going still higher
than 1t did when the buy was on.
may prove to be the greatest element
Of streng b for the next eight months.
\ long period to look forward to before
we can receive bale Of the new
crop"
I'VE therefore think that the market
nay shortly assume a much stronger
aspect than even last year, and rs
America has already some 100000
oales less In stock than last season the
DOB ton In New York is gradually be-
'omiog stro0g and danger GUS after the
ate drop, aud that the next manipu-
alton or move That can take place
here can only be for a rise. MANY
acts similar to those OF 1883, when ,
Norris Ranger made his fatal mistake
~ bearing cotton, are now making :
themselves apparent. Ranger started r
IN the undonLtsd fact that the crop =
vas 1000, 900, and Il at the one follow a
%, would DO eorrespondinely large, /
nd that. would, in his opinion, be q
nipple; but he ignored the most i'm. 1
,oItAht items, namely, the distribu-
ion oil the crop and the possibility of /
lamage to the:.ssgro wing crop, and the ,
pind es at work. tits this distii lu- /
ion, good trade and enormous con- n
um puon. baked up by the low price =
1 about 6t. per pound, and possible n
len ipulation, that leads us TO take :,
mis- view OF the article aud compare N
to 1888, when IL was clearly shown u
nat WI b q good trade asd monster (,
rop, the la tyr was necessity to the Z
primer; Consequently our theory is h
lat n C op OF even 9 $4,000 will not W
Q large elough for the requirements @
the world for 1887 under the above h,
xisting circu instances, without caus- n,
X a distinct rise in value from to. a,
Ay's basis, for We maintain that co n,
N is the only big article OF produce al
bero production has not, on the vi
,e'sge of the la I five years, over
ken the consumption, as 1t has done III
ith sugar and wheat, the reason ap-
lreuty being that cotton is still only
odueed in America, India, etc,
hereas the late development of sugar
! the ointment and wheat in Iodia, st
c., has qnite UPSET the old calcula. Nj
,ns IN those ,artIcles of what may Do to-
rned the ]ow price theory and COM in
riaons to former years." ds
"Of course wa cannot ignore tho one 10
eat feature that is hanging over the re
arket, which ia hsmDering conti-l ne
ntsl trade and speculation in gem Oh
al. We allude 10 tho serious p Ilit. 9u
II aspect and the fear of Eur pean e:4
but on this point one o.
inion ia as & nod as another" tic
vii
W.